Introduction Product promotion in marketing refersto the communication type used to target specific consumers. Different methodsin marketing are used to show products to the customers in order to raiseawareness attract more customers increase sales introducing the customers tonew products. New companies enter the market by promoting for their products tobe in front of the consumers rather than direct selling in the market. Manypeople and specialized marketers fail to understand and harness the power ofpromotional product (the power of promotion by David Blaise, MariaCarlton). There are many strategies usedin marketing product promotion we will be going through some of them in ourdiscussion and focusing of the strategies used in banking sector. Banks doesnot offer tangible products that why their ways of challenges to attractcustomers is unique.
Banking promotion is who to convince customers to trustthat and gain most value of their money deposit once they invest with the bank.The marketing in banking continued changing in the last years as the banks weremain concentration on the public relations then the concentration aimed on thesales promotion and advertising. The elements of the marketing concept willremain important such as profit integrated framework and social responsibilitybut the customer satisfaction must take the greatest treatment in the upcomingyears. Literature review A. Thepromotional mix for banking service 1.
AdvertisingAdvertising is the primary promotion formof communication directly with targeted largest numbers of audience rather thanpersonal. The advertising is a paid form to promote a product or servicethrough mass media. It’sa financed procedure allow the organization to control the type of messagedelivered to the audience. Banks can use their advertising for either short-termor long-terms objectives (Meidan 1996). The banks aim through their marketingcommunication to raise awareness and impress the customers of their bankingservices. banking advertising have two types of advertising channelsappropriate that are above-the-line and under-the-line above the lineadvertising is different types of communication through the mass media such asTV channels, newspaper, radio, magazine, posters this are the paid forms ofadvertising that have no feedbacks on the services provided by the banks as itsnot personal it’s for targeted audience. Under the line advertising takes a bigpart of advertising activities in banks it’s the invisible form of advertisingof the banks financial services such as guides, leaflets, pamphlets. Thetechnology is playing a big role in advertising for banks.
Some customersnowadays don’t use the old ways of reading brochures newspapers and magazinesto collect information about their bank accounts internet websites areproviding all the information needed by the customers. 2. Sales promotionSales promotions are usually offeringsome additional benefits to the customers such as small gifts in order topromote schemes.
The positive results are of the sales promotion is related tothe innovative promotion. Some of the most popular sales promotions techniquesare gifts. Contests, fairs, discounts, commission, traveling plans for bankersand additional allowance. The banks seeking for gaining more customers to increasetheir deposits what will increase the savings of the banks to increase themarket share of the targeted segment. The discussion on the financialorganization must be built according to relevance and benefits of salespromotion3. Public relation Public Relations taking care of thetype and quality of relationship between organization and other publics ( Brassington& Pettitt 2000 ). Public relations cover a set of programs designed to lookafter or promote organization’s name and image and the products or services itoffers.
Public relations strategy can be effective to marketing plan if it wasSuccessful implemented. building strong relations between the banks and thepublic’s by covering activities such as charities or sponsoring sportsactivities or TV programs attend trade exhibitions to relate the suppliers andcustomers to the services provided by the organization. 4. Personal sellingThe approach of personal selling inmarketing is the communication strategy used by direct meeting of thesalesperson with the individual to convince customers of a product or service withgiving the customers the opportunity to ask and address concerns and follow up withthe salespersons. Personal selling is crucial element of keeping customers byconjoining them with long-term relationship and build trust and understandingbetween the organization and customers. The fast changing of the financial services environmentincrease the competition leading the banks to develop and repair fullrelationship with their customers ( Verhallen et al 1997). Long term person to person relationshiphas a very big impact on the banks in term of competition advantages (Julian& Ramaseshan 1994).
Personal selling can be done face to face or bytechnological communications such as internet (Lee 2002)